Import Process of Livestock

Import Process of Livestock and Customs Procedures by IPO Logistics

Importing livestock plays a crucial role in ensuring a steady supply of live animals for the farming, food, and research industries in Vietnam. However, this is a complex process that requires strict adherence to regulations on quarantine, tariffs, and customs procedures. This article provides a detailed overview of the livestock import process conducted by IPO Logistics, from preparing documents, obtaining permits, to handling quarantine procedures and customs clearance.

1. Overview of Livestock Import Needs and Regulations

1.1. Livestock Import Demand

Vietnam is an agricultural country with high demand for live animals to serve the livestock and food industries. Due to limited domestic supply or to improve genetic quality, Vietnam frequently imports livestock from countries like Australia, the United States, New Zealand, and other Asian countries.

Common livestock imports include:

• Cattle: Mainly breeding or beef cattle.
• Pigs: For breeding or consumption.
• Sheep and Goats: Primarily for high-quality breeding stock.

1.2. Current Regulations

The livestock import process in Vietnam is tightly regulated by agencies such as:

• Ministry of Agriculture and Rural Development (MARD): Responsible for import permits and animal quarantine.
• Department of Animal Health: Oversees pre- and post-import quarantine procedures.
• General Department of Customs: Handles customs clearance and document verification.

Imported livestock must meet criteria including:

• No transmission of hazardous diseases as per international regulations.
• Quarantine certification from the exporting country’s authorities.
• Compliance with post-import isolation and inspection requirements.

2. HS Code and Import Duties for Livestock

2.1. Livestock HS Code

HS Code is crucial for classifying goods, applying taxes, and determining customs requirements. Livestock is classified under Chapter 01 of the HS system:

• 0102: Live bovine animals.
  • 0102.21: Purebred cattle.
  • 0102.29: Other live bovine animals.
• 0103: Live pigs.
• 0104: Live sheep and goats.

Correctly identifying the HS Code is critical for IPO Logistics to complete legal formalities and determine the applicable duty rates.

2.2. Applicable Import Duties

Live livestock often enjoys favorable tariff rates as they fall under essential goods:

• Import duties:
  • Breeding cattle and pigs typically attract a duty rate ranging from 0% – 5% (under Free Trade Agreements – FTAs).
  • Livestock from countries without FTAs may be subject to higher tariffs.
• VAT: The Value Added Tax (VAT) on live livestock is 5%, applied to the value of the goods after import duties.

2.3. Special Import Policies

• Livestock from countries with disease outbreaks must be accompanied by certification of disease-free status from veterinary authorities.
• Some animal breeds may require special permits, such as endangered species.

3. Livestock Import Process

To execute the import process efficiently, IPO Logistics must follow these steps:

Step 1: Partner Search and Contract Preparation

• Verify supplier information: The supplier must have an export license and adhere to international quarantine standards.
• Sign a sales contract: The contract should detail:
  • Type of livestock (cattle, pigs, sheep, etc.).
  • Quantity, weight, and quality.
  • Price and shipping terms (FOB, CIF, EXW, etc.).

Step 2: Apply for an Import Permit

An import permit issued by the Vietnam Department of Animal Health is mandatory. The application must include:

• Import permit application form.
• Sales contract copy.
• Veterinary certificate from the exporting country.

Processing the permit usually takes 5-10 working days.

Step 3: Pre-export Quarantine

The livestock must undergo quarantine in the exporting country, conducted by local veterinary authorities. The certification must state:

• The livestock is free from contagious diseases (foot-and-mouth disease, tuberculosis, anthrax, etc.).
• Clear origin and compliance with export standards.

Step 4: Prepare Customs Documentation

Customs documentation includes:

• Commercial invoice.
• Sales contract.
• Import permit.
• Veterinary certificate.
• Bill of lading (air or sea freight).

IPO Logistics needs to file electronic customs declarations before the livestock arrives at the port.

Step 5: Quarantine Upon Arrival

Upon arrival, the Department of Animal Health in Vietnam will recheck:

• The livestock’s health status.
• Cross-checking against quarantine documents.

Livestock may need to be isolated at a quarantine facility for 7-21 days for observation.

Step 6: Customs Clearance and Delivery

After passing quarantine inspection, IPO Logistics will:

• Pay import duties and VAT.
• Receive the customs clearance document.
• Arrange transportation to farms or consumption facilities.

4. Key Considerations for Livestock Importation

• Monitor Trade Policies: Import policies can change depending on disease outbreaks or other factors.
• Safe Transportation: Livestock should be transported using specialized vehicles to ensure safety and minimize stress.
• Processing Time: Quarantine and customs procedures may take time, especially if there are issues with paperwork or animal health.

5. Conclusion

The livestock import process is a complex series of activities, from quarantine, customs declaration to tax processing. With in-depth knowledge of legal requirements and logistics management experience, IPO Logistics ensures a smooth import process, meeting both government regulations and market demands.

By continuously updating regulations, collaborating closely with regulatory authorities, and maintaining strong relationships with international partners, IPO Logistics can maintain a competitive edge and ensure high-quality service in livestock logistics.